Save Article

Startup Risk: Bill Gurley's Warning Triggers Debate in Silicon Valley

Venture Capitalist's Ominous View Is Echoed; 'Keep Dancing Until the Music Stops'

Sept. 16, 2014 4:51 p.m. ET

Venture capitalist Bill Gurley sounded the alarm in Silicon Valley. And now some of his peers are ringing it with him.

Mr. Gurley, a general partner at Benchmark, warned in a recent interview with The Wall Street Journal that the tech investing community is taking on an excessive amount of risk, and startups are burning through cash at an unsustainable pace.